The surrender of a patent is an action through which a patentee loses its right to enforce a valid patent. To surrender the patent, it can be initiated by applying to the patent office. The Controller shall publish the notification of the application made for the surrender by the patentee to invite any opposition from a person having contrary interest to the application made.
The procedure of surrender and revocation of the patent is regulated under the provision of Sec. 63 of the Patent Act 1960. However, this provision does not prevent a patentee from opting out of ownership of the patent through non-payment of the renewal fees.
The surrender of a patent can be conducted by these two methods - following the provisions under Sec. 63 of the Act or by non-payment of the renewal fee. These two procedures are not only distinct from each other but also have a very different outcome on the execution of the past and future infringement procedures.
If a patent lapses due to non-payment of the renewal fees, or if the patent is surrendered in the general procedure, the revocation shall not have a retrospective result. On the other hand, if a patent is invalidated by the tribunal in any counterclaims for revocation, such revocation has a retrospective effect, in other words, it shall be considered as it never existed.
The procedure to accomplish such a surrender is regulated by rule 87 of the Patents Rules. The procedure is as follows:
When the patent is surrendered, it shall be considered that the patent has never existed and thus ending all the financial agreements made based on the patent. However, experts advise that on surrendering a patent, it would be necessary to protect the interest of a patentee and other persons having interest. This would be an engaging resolution to a patentee when licence payments have earlier been made, rather than endangering the revocation of an existing patent.